An Australian teacher, who once worked in New Zealand, has been arrested in the Philippines for allegedly using a 14-year-old to recruit other boys for sex.

The 45-year-old man, who has worked at schools in Australia, China and New Zealand, was arrested on Friday evening (local time) at a beach resort in Compostela town, north Cebu, as part of a police operation.

It's alleged the man used a 14-year-old boy to recruit four others, aged 10 to 13, who were then delivered to the man's hotel by his driver.

The boys, who were paid between $12 and $25 for each visit, were photographed and sexually abused, police said.

It's understood the man, who claims to have played field hockey "to an international level", had been travelling with his wife until she moved on to another holiday location in the Philippines.

He has denied the allegations.

However, the deputy chief of the regional anti-human trafficking task force, Sheryl Bautista, said the boys recovered on Friday were a "new batch" from Mandaue city. He also said there were other victims.

The Australian man had been travelling between resorts in Cebu province and had been under surveillance for several days after another boy alerted authorities, Bautista said.

"According to the rescued minors, the suspect would take nude photos of them (and have sex with them)," she said.

The man and his driver were expected be charged with abuse or violation of a child.